The second stage of the Self Employment Income Support Scheme (SEISS) is now open, and applications must be submitted before the deadline on Monday 19 October 2020.
Under the scheme, self-employed taxpayers affected by Covid-19 can apply for a second – and final – taxable grant worth 70 per cent of their average monthly trading profits.
Down from 80 per cent in the first round of the scheme, it means the maximum possible grant has been reduced from £7,500 to £6,570.
To apply, your self-employed business must have been affected by the coronavirus on or after 14 July 2020. HM Revenue & Customs (HMRC) states that there is no threshold for how much your business must have suffered, so if you have lost any revenue or customers at all you could qualify.
Additionally, your trading profits must be no more than £50,000 (calculated using the average of your 2016/17, 17/18 and 18/19 tax returns, where applicable) and:
- Have submitted a Self-Assessment tax return for the tax year 2018/19 (or are planning to)
- Have traded in the tax year 2019/20
- Is trading now, or would be trading if it were not for the coronavirus pandemic
- Intends to continue to trade in the 2020/21 tax year
- More than half of your income is derived from self-employed profits
Commenting on the announcement, Chancellor of the Exchequer Rishi Sunak said: “Our Self-Employment Income Support Scheme has already helped millions of hard-working people, whose get up and go drive is crucial to our economy.
“It means that people’s livelihoods across the country will remain protected as we continue our economic recovery – helping them get back on their feet as we return to normal.”
For help and advice, contact our expert team today.